Dragonfly Kitchen III accounts for 43 enforcement records as Michigan regulators cite operators for tracking, security, sales and financial-reporting violations

LANSING — Michigan cannabis regulators recorded 75 enforcement actions dated in July, ranging from fines for marijuana tracking violations to the surrender of licenses by three businesses, according to the Cannabis Regulatory Agency’s latest monthly disciplinary report.

The July report, released Aug. 24, provides another snapshot of how Michigan regulators are policing one of the nation’s largest legal marijuana markets.

Among the most significant actions, Ground Control Michigan LLC, doing business as GCM Waypoint in Bangor, surrendered its processor license; Unique Farms LLC, doing business as Zaza Recreational in Flushing, surrendered its retailer license; and Triforce Farm LLC in Pittsford surrendered a grower license.

The cases involved alleged or admitted violations ranging from improper sales and failures to use Michigan’s marijuana tracking system to surveillance problems, annual financial statement violations and failures to report changes in business operations.

One Cannabis Company Accounts For 43 Cases

The biggest concentration of enforcement activity involved Dragonfly Kitchen III Inc. in Cassopolis.

CRA records show 43 separate enforcement records dated July 8 involving Dragonfly licenses.

One action involved an adult-use Class C grower license and cited both failure to report changes involving the physical location or operations and surveillance or security problems. Dozens of additional Dragonfly grower licenses were cited for surveillance or security violations.

The CRA imposed fines in the cases. The agency’s report treats the licenses as separate enforcement records even though they involve the same operator, an important distinction when looking at the overall number of July actions.

In one Dragonfly consent order reviewed by MITechNews, the CRA found violations involving the license and imposed a $328 fine. The order followed a formal complaint issued in December 2025.

GCM Waypoint Permanently Closes

One of July’s most significant cases was already the subject of a separate CRA enforcement announcement.

Ground Control Michigan LLC, doing business as GCM Waypoint in Bangor, agreed to surrender adult-use processor license AU-P-000154 under two consent orders.

The license cannot be renewed, reinstated, reissued or reactivated.

The CRA cited general operational issues, marijuana tracking violations, reporting issues, non-compliant sales and surveillance or security problems.

The agency announced July 15 that GCM Waypoint would permanently close under the agreements. CRA Executive Director Brian Hanna credited cooperation among the Michigan State Police, Massachusetts Cannabis Control Commission and CRA enforcement and legal personnel in resolving the case.

Zaza Recreational License Cannot Return

Unique Farms LLC, doing business as Zaza Recreational in Flushing, also surrendered its adult-use retailer license.

The CRA report cites non-compliant sales, packaging and advertising violations, surveillance and security problems, general operational issues and violations involving the state’s marijuana tracking system.

The consent order says license AU-R-001347 cannot be renewed, reinstated, reissued or reactivated in the future.

Triforce Farm LLC in Pittsford also surrendered grower license GR-A-000232 following an annual financial statement compliance case.

Retailers Across Michigan Fined

Other July disciplinary actions reached cannabis retailers, growers, processors and testing laboratories across the state.

Quality Roots in Hamtramck and Confluence Cannabis in Three Rivers were cited for non-compliant sales.

The Cake House in Detroit was cited for marijuana tracking and surveillance or security violations, while Hyde Cannabis in Detroit was cited for tracking-system violations.

Puff Cannabis Monroe was fined over general operational issues and marijuana tracking compliance.

Herbology locations in Ypsilanti, River Rouge and Adrian also appear in the report. The Ypsilanti and River Rouge cases involved tracking-system compliance, while the Adrian location was cited for general operational, tracking and surveillance or security issues.

JARS Cannabis in Caspian was cited in two enforcement cases involving reporting issues.

SC Labs in Warren was cited under two licenses for annual financial statement non-compliance.

METRC Remains A Recurring Problem

A pattern running through the July report is continued difficulty complying with METRC, Michigan’s statewide marijuana monitoring system.

METRC is designed to track regulated marijuana through the legal supply chain. Violations involving the system appear repeatedly in the July report at retailers, growers and processors.

Surveillance and security violations are another recurring category, as are annual financial statement compliance problems.

The report demonstrates that CRA enforcement is not limited to allegations involving unsafe marijuana products. Businesses can face disciplinary action for recordkeeping, financial reporting, inventory tracking, surveillance and other regulatory requirements.

What CRA Watch Will Track

MITechNews is launching CRA Watch as a recurring monthly feature examining Cannabis Regulatory Agency disciplinary reports.

Rather than simply reproducing the state’s list of license numbers, CRA Watch will identify significant license suspensions and surrenders, major fines, repeated violations, enforcement trends and cases involving prominent Michigan cannabis companies.

The July CRA report also includes a number of orders dated in May that were incorporated into the newly published report. Those older cases include actions involving Huron View in Ann Arbor, Exclusive Brands in Ann Arbor, Trucenta in Hazel Park and several other licensees.

For that reason, MITechNews is distinguishing actions actually dated in July from older disciplinary orders appearing in the July report.

Consumers and industry participants can search disciplinary records through the CRA’s public license database. The agency also allows members of the public to submit complaints against licensed cannabis businesses online.

CRA Watch will return each month as new Michigan cannabis disciplinary reports are released.